To further regulate and punish illicit conduct relating to methamphetamine, and for other purposes.

September 22, 2005

Mr. SOUDER (for himself, Mr. SENSENBRENNER, Mr. BLUNT, Mr. COBLE, Mr. CALVERT, Mr. LARSEN of Washington, Mr. BOSWELL, Mr. KENNEDY of Minnesota, Mr. CANNON, Ms. HOOLEY, Mr. BAIRD, Mr. OSBORNE, Mr. CARDOZA, Mr. CASE, Mr. ROGERS of Alabama, Mr. LEWIS of Kentucky, Mr. BURTON of Indiana, Mr. SMITH of Texas, Mr. BACHUS, Mr. PETERSON of Pennsylvania, Mr. BOREN, Ms. HERSETH, Mr. FRANKS of Arizona, Mr. ABERCROMBIE, Mr. WALDEN of Oregon, Mr. REICHERT, Mr. WAMP, Mr. MCHENRY, Mr. GRAVES, Mr. PETERSON of Minnesota, Mr. TERRY, Mr. SCHWARZ of Michigan, Miss MCMORRIS, and Ms. GRANGER) introduced the following bill; which was referred to the Committee on Energy and Commerce, and in addition to the Committees on the Judiciary, International Relations, and Transportation and Infrastructure, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned

To further regulate and punish illicit conduct relating to methamphetamine, and for other purposes.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

(a) Short Title- This Act may be cited as the `Methamphetamine Epidemic Elimination Act'.

(b) Table of Contents- The table of contents for this Act is as follows:

Sec. 1. Short title; table of contents.

TITLE I--DOMESTIC REGULATION OF PRECURSOR CHEMICALS

Sec. 101. Regulated transactions in methamphetamine precursor chemical products.

Sec. 102. Authority to establish production quotas.

Sec. 103. Penalties; authority for manufacturing; quota.

Sec. 104. Restrictions on importation; authority to permit imports for medical, scientific, or other legitimate purposes.

Sec. 105. Notice of importation or exportation; approval of sale or transfer by importer or exporter.

Sec. 106. Enforcement of restrictions on importation and of requirement of notice of transfer.

TITLE II--INTERNATIONAL REGULATION OF PRECURSOR CHEMICALS

Sec. 201. Information on foreign chain of distribution; import restrictions regarding failure of distributors to cooperate.

Sec. 202. Requirements relating to the largest exporting and importing countries of certain precursor chemicals.

Sec. 203. Prevention of smuggling of methamphetamine into the United States from Mexico.

TITLE III--ENHANCED CRIMINAL PENALTIES FOR METHAMPHETAMINE PRODUCTION AND TRAFFICKING

Sec. 301. Enhanced penalties for methamphetamine production, possession, or trafficking.

Sec. 302. Smuggling methamphetamine or methamphetamine precursor chemicals into the united states while using facilitated entry programs.

Sec. 303. Manufacturing controlled substances on Federal property.

Sec. 304. Increased punishment for methamphetamine kingpins.

TITLE IV--ENHANCED ENVIRONMENTAL REGULATION OF METHAMPHETAMINE BY-PRODUCTS

Sec. 401. Designation of by-products of methamphetamine laboratories as hazardous materials and waste under Hazardous Materials Transportation Act and Solid Waste Disposal Act.

Sec. 402. Cleanup costs.

TITLE I--DOMESTIC REGULATION OF PRECURSOR CHEMICALS

SEC. 101. REGULATED TRANSACTIONS IN METHAMPHETAMINE PRECURSOR CHEMICAL PRODUCTS.

(a) Reduction of Retail Sales Threshold- Section 102(39)(A)(iv)(II) of the Controlled Substances Act (21 U.S.C. 802(39)(A)(iv)(II)) is amended by striking `shall be 9 grams' and all that follows and inserting the following: `shall be any quantity of pseudoephedrine over 3.6 grams in a single transaction, or any quantity of phenylpropanolamine over 3.6 grams in a single transaction, and in addition shall be, in the case of such products in nonliquid form, that the products be packaged in blister packs, each blister containing not more than 2 dosage units, or where the use of blister packs is technically infeasible, packaged in unit dose packets or pouches.'

(b) Elimination of Blister Pack Exemption-

(1) REGULATED TRANSACTION- Section 102(39)(A)(iv)(I)(aa) of the Controlled Substances Act (21 U.S.C. 802(39)(A)(iv)(I)(aa)) is amended by striking `, except that' and all that follows through `1996)'.

(2) DEFINITION; CONFORMING AMENDMENTS- The Controlled Substances Act (21 U.S.C. 801 et seq.) is amended--

(A) in section 102--

(i) by striking paragraph (45); and

(ii) by redesignating paragraph (46) as paragraph (45);

(B) in section 204(e), by striking `shall' the first time it appears and inserting `may'; and

(C) in section 310(b)(3)(D)(ii), by striking `102(46)' and inserting `102(45)'.

(c) Public Law 104-237- Section 401 of the Comprehensive Methamphetamine Control Act of 1996 (21 U.S.C. 802 note) (Public Law 104-237) is amended by striking subsections (d), (e), and (f).

(d) Combinations Involving Derivatives- Section 102(39) of the Controlled Substances Act (21 U.S.C. 802(39)) is amended--

(1) in subparagraph (A)(iv)(I)(aa), by striking `the drug contains' and all that follows through `unless otherwise provided' and inserting the following: `the drug contains ephedrine, pseudoephedrine, or phenylpropanolamine unless otherwise provided'; and

(2) by inserting after and below subparagraph (B) the following:

`Each reference in subparagraph (A)(iv) to ephedrine, pseudoephedrine, or phenylpropanolamine includes each of the salts, optical isomers, and salts of optical isomers of such chemical.'.

SEC. 102. AUTHORITY TO ESTABLISH PRODUCTION QUOTAS.

Section 306 of the Controlled Substances Act (21 U.S.C. 826) is amended--

(1) in subsection (a), by inserting `and for ephedrine, pseudoephedrine, and phenylpropanolamine' after `for each basic class of controlled substance in schedules I and II';

(2) in subsection (b), by inserting `or for ephedrine, pseudoephedrine, or phenylpropanolamine' after `for each basic class of controlled substance in schedule I or II' each place such term appears;

(3) in subsection (c), in the first sentence, by inserting `and for ephedrine, pseudoephedrine, and phenylpropanolamine' after `for the basic classes of controlled substances in schedules I and II';

(4) in subsection (d), by inserting `or ephedrine, pseudoephedrine, or phenylpropanolamine' after `that basic class of controlled substance';

(5) in subsection (e), by inserting `or for ephedrine, pseudoephedrine, or phenylpropanolamine' after `for a basic class of controlled substance in schedule I or II' each place such term appears;

(6) in subsection (f)--

(A) by inserting `or ephedrine, pseudoephedrine, or phenylpropanolamine' after `controlled substances in schedules I and II';

(B) by inserting `or of ephedrine, pseudoephedrine, or phenylpropanolamine' after `the manufacture of a controlled substance'; and

(C) by inserting `or chemicals' after `such incidentally produced substances'; and

(7) by adding at the end the following subsection:

`(g) Each reference in this section to ephedrine, pseudoephedrine, or phenylpropanolamine includes each of the salts, optical isomers, and salts of optical isomers of such chemical.'.

SEC. 103. PENALTIES; AUTHORITY FOR MANUFACTURING; QUOTA.

Section 402(b) of the Controlled Substances Act (21 U.S.C. 842(b)) is amended by inserting after `manufacture a controlled substance in schedule I or II' the following: `, or ephedrine, pseudoephedrine, or phenylpropanolamine or any of the salts, optical isomers, or salts of optical isomers of such chemical,'.

SEC. 104. RESTRICTIONS ON IMPORTATION; AUTHORITY TO PERMIT IMPORTS FOR MEDICAL, SCIENTIFIC, OR OTHER LEGITIMATE PURPOSES.

Section 1002(a) of the Controlled Substances Import and Export Act (21 U.S.C. 952(a)) is amended--

(1) in the matter preceding paragraph (1), by inserting `or ephedrine, pseudoephedrine, or phenylpropanolamine,' after `schedule III, IV, or V of title II,';

(2) in paragraph (1), by inserting `, and of ephedrine, pseudoephedrine, and phenylpropanolamine, ' after `coca leaves'; and

(3) by adding at the end the following subsections:

`(d)(1) With respect to a registrant under section 1008 who is authorized under subsection (a)(1) to import ephedrine, pseudoephedrine, or phenylpropanolamine, at any time during the year the registrant may apply for an increase in the amount of such chemical that the registrant is authorized to import, and the Attorney General may approve the application if the Attorney General determines that the approval is necessary to provide for medical, scientific, or other legitimate purposes regarding the chemical.

`(2) With respect to the application under paragraph (1):

`(A) Not later than 60 days after receiving the application, the Attorney General shall approve or deny the application.

`(B) In approving the application, the Attorney General shall specify the period of time for which the approval is in effect, or shall provide that the approval is effective until the registrant involved is notified in writing by the Attorney General that the approval is terminated.

`(C) If the Attorney General does not approve or deny the application before the expiration of the 60-day period under subparagraph (A), the application is deemed to be approved, and such approval remains in effect until the Attorney General notifies the registrant in writing that the approval is terminated.

`(e) Each reference in this section to ephedrine, pseudoephedrine, or phenylpropanolamine includes each of the salts, optical isomers, and salts of optical isomers of such chemical.'.

SEC. 105. NOTICE OF IMPORTATION OR EXPORTATION; APPROVAL OF SALE OR TRANSFER BY IMPORTER OR EXPORTER.

(a) In General- Section 1018 of the Controlled Substances Import and Export Act (21 U.S.C. 971) is amended--

(1) in subsection (b)(1), in the first sentence, by striking `or to an importation by a regular importer' and inserting `or to a transaction that is an importation by a regular importer';

(2) by redesignating subsections (d) and (e) as subsections (e) and (f), respectively; and

(3) by inserting after subsection (c) the following subsection:

`(d)(1)(A) Information provided in a notice under subsection (a) or (b) shall include the name of the person to whom the importer or exporter involved intends to transfer the listed chemical involved.

`(B) In the case of a notice under subsection (b) submitted by a regular importer, if the transferee identified in the notice is not a regular customer, such importer may not transfer the listed chemical until after the expiration of the 15-day period beginning on the date on which the notice is submitted to the Attorney General.

`(C) After a notice under subsection (a) or (b) is submitted to the Attorney General, if circumstances change and the importer or exporter will not be transferring the listed chemical to the transferee identified in the notice, the importer or exporter shall update the notice to identify the most recent prospective transferee and may not transfer the listed chemical until after the expiration of the 15-day period beginning on the date on which the update is submitted to the Attorney General, except that such 15-day restriction does not apply if the prospective transferee identified in the update is a regular customer. The preceding sentence applies with respect to changing circumstances regarding a transferee identified in an update to the same extent and in the same manner as such sentence applies with respect to changing circumstances regarding a transferee identified in the original notice under subsection (a) or (b).

`(D) In the case of a transfer of a listed chemical that is subject to a 15-day restriction under subparagraph (B) or (C), the transferee involved shall, upon the expiration of the 15-day period, be considered to qualify as a regular customer, unless the Attorney General otherwise notifies the importer or exporter involved in writing.

`(2) With respect to a transfer of a listed chemical with which a notice or update referred to in paragraph (1) is concerned:

`(A) The Attorney General, in accordance with the same procedures as apply under subsection (c)(2)--

`(i) may order the suspension of the transfer of the listed chemical by the importer or exporter involved, except for a transfer to a regular customer, on the ground that the chemical may be diverted to the illegal or clandestine manufacture of a controlled substance, subject to the Attorney General ordering such suspension before the expiration of the 15-day period referred to in paragraph (1) with respect to the importation or exportation (in any case in which such a period applies); and

`(ii) may, for purposes of clause (i) and paragraph (1), disqualify a regular customer on such ground.

`(B) From and after the time when the Attorney General provides written notice of the order under subparagraph (A) (including a statement of the legal and factual basis for the order) to the importer or exporter, the importer or exporter may not carry out the transfer.

`(3) For purposes of this subsection:

`(A) The terms `importer' and `exporter' mean a regulated person who imports or exports a listed chemical, respectively.

`(B) The term `transfer', with respect to a listed chemical, includes the sale of the chemical.

`(C) The term `transferee' means a person to whom an importer or exporter transfers a listed chemical.'.

(b) Conforming Amendments-

(1) IN GENERAL- Section 1010(d)(5) of the Controlled Substances Import and Export Act (21 U.S.C. 960(d)(5)) is amended by striking `section 1018(e)(2) or (3)' and inserting `paragraph (2) or (3) of section 1018(f)'.

(2) CONTROLLED SUBSTANCES ACT- Section 310(b)(3)(D)(v) of the Controlled Substances Act (21 U.S.C. 830(b)(3)(D)(v)) is amended by striking `section 1018(e)(2)' and inserting `section 1018(f)(2)'.

SEC. 106. ENFORCEMENT OF RESTRICTIONS ON IMPORTATION AND OF REQUIREMENT OF NOTICE OF TRANSFER.

Section 1010(d)(6) of the Controlled Substances Import and Export Act (21 U.S.C. 960(d)(6)) is amended to read as follows:

`(6) imports a listed chemical in violation of section 1002, imports or exports such a chemical in violation of section 1007 or 1018, or transfers such a chemical in violation of section 1018(d); or'.

TITLE II--INTERNATIONAL REGULATION OF PRECURSOR CHEMICALS

SEC. 201. INFORMATION ON FOREIGN CHAIN OF DISTRIBUTION; IMPORT RESTRICTIONS REGARDING FAILURE OF DISTRIBUTORS TO COOPERATE.

Section 1018 of the Controlled Substances Import and Export Act (21 U.S.C. 971), as amended by section 105(a) of this Act, is further amended by adding at the end the following subsection:

`(g)(1) With respect to a registered person importing ephedrine, pseudoephedrine, or phenylpropanolamine (referred to in this section as an `importer'), a notice of importation under subsection (a) or (b) shall include all information known to the importer on the chain of distribution of such chemical from the manufacturer to the importer.

`(2) For the purpose of preventing or responding to the diversion of ephedrine, pseudoephedrine, or phenylpropanolamine for use in the illicit production of methamphetamine, the Attorney General may, in the case of any person who is a manufacturer or distributor of such chemical in the chain of distribution referred to in paragraph (1) (which person is referred to in this subsection as a `foreign-chain distributor'), request that such distributor provide to the Attorney General information known to the distributor on the distribution of the chemical, including sales.

`(3) If the Attorney General determines that a foreign-chain distributor is refusing to cooperate with the Attorney General in obtaining the information referred to in paragraph (2), the Attorney General may, in accordance with procedures that apply under subsection (c), issue an order prohibiting the importation of ephedrine, pseudoephedrine, or phenylpropanolamine in any case in which such distributor is part of the chain of distribution for such chemical. Not later than 60 days prior to issuing the order, the Attorney General shall publish in the Federal Register a notice of intent to issue the order. During such 60-day period, imports of the chemical with respect to such distributor may not be restricted under this paragraph.'.

SEC. 202. REQUIREMENTS RELATING TO THE LARGEST EXPORTING AND IMPORTING COUNTRIES OF CERTAIN PRECURSOR CHEMICALS.

(a) Reporting Requirements- Section 489(a) of the Foreign Assistance Act of 1961 (22 U.S.C. 2291h(a)) is amended by adding at the end the following new paragraph:

`(8)(A) A separate section that contains the following:

`(i) An identification of the five countries that exported the largest amount of pseudoephedrine, ephedrine, and phenylpropanolamine (including the salts, optical isomers, or salts of optical isomers of such chemicals, and also including any products or substances containing such chemicals) during the preceding calendar year.

`(ii) An identification of the five countries that imported the largest amount of the chemicals described in clause (i) during the preceding calendar year and have the highest rate of diversion of such chemicals for use in the illicit production of methamphetamine (either in that country or in another country).

`(iii) An economic analysis of the total worldwide production of the chemicals described in clause (i) as compared to the legitimate demand for such chemicals worldwide.

`(B) The identification of countries that imported the largest amount of chemicals under subparagraph (A)(ii) shall be based on the following:

`(i) An economic analysis that estimates the legitimate demand for such chemicals in such countries as compared to the actual or estimated amount of such chemicals that is imported into such countries.

`(ii) The best available data and other information regarding the production of methamphetamine in such countries and the diversion of such chemicals for use in the production of methamphetamine.'.

(b) Annual Certification Procedures- Section 490(a) of the Foreign Assistance Act of 1961 (22 U.S.C. 2291j(a)) is amended--

(1) in paragraph (1), by striking `major illicit drug producing country or major drug-transit country' and inserting `major illicit drug producing country, major drug-transit country, or country identified pursuant to clause (i) or (ii) of section 489(a)(8)(A) of this Act'; and

(2) in paragraph (2), by inserting after `(as determined under subsection (h))' the following: `or country identified pursuant to clause (i) or (ii) of section 489(a)(8)(A) of this Act'.

(c) Conforming Amendment- Section 706 of the Foreign Relations Authorization Act, Fiscal Year 2003 (22 U.S.C. 2291j-1) is amended in paragraph (5) by adding at the end the following:

`(C) Nothing in this section shall affect the requirements of section 490 of the Foreign Assistance Act of 1961 (22 U.S.C. 2291j) with respect to countries identified pursuant to section clause (i) or (ii) of 489(a)(8)(A) of the Foreign Assistance Act of 1961.'.

(d) Plan to Address Diversion of Precursor Chemicals- In the case of each country identified pursuant to clause (i) or (ii) of section 489(a)(8)(A) of the Foreign Assistance Act of 1961 (as added by subsection (a)) with respect to which the President has not transmitted to Congress a certification under section 490(b) of such Act (22 U.S.C. 2291j(b)), the Secretary of State, in consultation with the Attorney General, shall, not later than 180 days after the date on which the President transmits the report required by section 489(a) of such Act (22 U.S.C. 2291h(a)), submit to Congress a comprehensive plan to address the diversion of the chemicals described in section 489(a)(8)(A)(i) of such Act to the illicit production of methamphetamine in such country or in another country, including the establishment, expansion, and enhancement of regulatory, law enforcement, and other investigative efforts to prevent such diversion.

(e) Authorization of Appropriations- There are authorized to be appropriated to the Secretary of State to carry out section 489(a)(8) of the Foreign Assistance Act of 1961 (as added by subsection (a)) $1,000,000 for each of the fiscal years 2006 and 2007.

SEC. 203. PREVENTION OF SMUGGLING OF METHAMPHETAMINE INTO THE UNITED STATES FROM MEXICO.

(a) In General- The Secretary of State, acting through the Assistant Secretary of the Bureau for International Narcotics and Law Enforcement Affairs, shall take such actions as are necessary to prevent the smuggling of methamphetamine into the United States from Mexico.

(b) Specific Actions- In carrying out subsection (a), the Secretary shall--

(1) improve bilateral efforts at the United States-Mexico border to prevent the smuggling of methamphetamine into the United States from Mexico;

(2) seek to work with Mexican law enforcement authorities to improve the ability of such authorities to combat the production and trafficking of methamphetamine, including by providing equipment and technical assistance, as appropriate; and

(3) encourage the Government of Mexico to take immediate action to reduce the diversion of pseudoephedrine by drug trafficking organizations for the production and trafficking of methamphetamine.

(c) Report- Not later than one year after the date of the enactment of this Act, and annually thereafter, the Secretary shall submit to the appropriate congressional committees a report on the implementation of this section for the prior year.

(d) Authorization of Appropriations- There are authorized to be appropriated to the Secretary to carry out this section $4,000,000 for each of the fiscal years 2006 and 2007.

TITLE III--ENHANCED CRIMINAL PENALTIES FOR METHAMPHETAMINE PRODUCTION AND TRAFFICKING

SEC. 301. ENHANCED PENALTIES FOR METHAMPHETAMINE PRODUCTION, POSSESSION, OR TRAFFICKING.

(a) Manufacture, Distribution, Dispensation, or Certain Possession of Methamphetamine- Section 401 of the Controlled Substances Act (21 U.S.C. 841) is amended--

(1) in subsection (b)(1)(A)(viii)--

(A) by striking `50 grams' and inserting `5 grams'; and

(B) by striking `500 grams' and inserting `50 grams'; and

(2) in subsection (b)(1)(b)(viii)--

(A) by striking `5 grams' and inserting `3 grams'; and

(B) by striking `50 grams' and inserting `30 grams'.

(b) Importation or Exportation of Methamphetamine- Section 1010 of the Controlled Substances Import and Export Act (21 U.S.C. 960) is amended--

(1) in subsection (b)(1)(H)--

(A) by striking `50 grams' and inserting `5 grams'; and

(B) by striking `500 grams' and inserting `50 grams'; and

(2) in subsection (b)(2)(H)--

(A) by striking `5 grams' and inserting `3 grams'; and

(B) by striking `50 grams' and inserting `30 grams'.

SEC. 302. SMUGGLING METHAMPHETAMINE OR METHAMPHETAMINE PRECURSOR CHEMICALS INTO THE UNITED STATES WHILE USING FACILITATED ENTRY PROGRAMS.

(a) Enhanced Prison Sentence- The sentence of imprisonment imposed on a person convicted of an offense under the Controlled Substances Act (21 U.S.C. 801 et seq.) or the Controlled Substances Import and Export Act (21 U.S.C. 951 et seq.), involving methamphetamine or any listed chemical that is defined in section 102(33) of the Controlled Substances Act (21 U.S.C. 802(33), shall, if the offense is committed under the circumstance described in subsection (b), be increased by a consecutive term of imprisonment of not more than 15 years.

(b) Circumstances- For purposes of subsection (a), the circumstance described in this subsection is that the offense described in subsection (a) was committed by a person who--

(1) was enrolled in, or who was acting on behalf of any person or entity enrolled in, any dedicated commuter lane, alternative or accelerated inspection system, or other facilitated entry program administered or approved by the Federal Government for use in entering the United States; and

(2) committed the offense while entering the United States, using such lane, system, or program.

(c) Permanent Ineligibility- Any person whose term of imprisonment is increased under subsection (a) shall be permanently and irrevocably barred from being eligible for or using any lane, system, or program described in subsection (b)(1).

SEC. 303. MANUFACTURING CONTROLLED SUBSTANCES ON FEDERAL PROPERTY.

Subsection (b) of section 401 of the Controlled Substances Act (21 U.S.C. 841(b)) is amended in paragraph (5) by inserting `or manufacturing' after `cultivating'.

SEC. 304. INCREASED PUNISHMENT FOR METHAMPHETAMINE KINGPINS.

Section 408 of the Controlled Substances Act (21 U.S.C. 848) is amended by adding at the end the following:

`(s) Special Provision for Methamphetamine- For the purposes of subsection (b), in the case of continuing criminal enterprise involving methamphetamine or its salts, isomers, or salts of isomers, paragraph (2)(A) shall be applied by substituting `100' for `300', and paragraph (2)(B) shall be applied by substituting `$1,000,000' for `$10 million dollars'.'.

TITLE IV--ENHANCED ENVIRONMENTAL REGULATION OF METHAMPHETAMINE BY-PRODUCTS

SEC. 401. DESIGNATION OF BY-PRODUCTS OF METHAMPHETAMINE LABORATORIES AS HAZARDOUS MATERIALS AND WASTE UNDER HAZARDOUS MATERIALS TRANSPORTATION ACT AND SOLID WASTE DISPOSAL ACT.

(a) Hazardous Materials Transportation Act- The Secretary of Transportation, after consultation with the Attorney General, shall utilize the authority provided by section 5103 of title 49, United States Code, to designate as hazardous materials for purposes of chapter 51 of such title those by-products of the methamphetamine-production process that the Secretary determines may pose an unreasonable risk to health and safety or property when transported in commerce in a particular amount and form.

(b) Solid Waste Disposal Act- The Administrator of the Environmental Protection Agency, after consultation with the Attorney General, shall utilize the authority provided by section 3001 of the Solid Waste Disposal Act (42 U.S.C. 6921) to designate as hazardous waste for purposes of such Act (42 U.S.C. 6901 et seq.) those by-products of the methamphetamine-production process that the Administrator determines are likely to cause long-term harm to the environment in the event of improper disposal and inadequate remediation.

(c) Time for Designation; Additional Designations- The designations required by subsections (a) and (b) shall be completed not later than 18 months after the date of the enactment of this Act. After the expiration of such 18-month period, if the Secretary of Transportation or the Administrator of the Environmental Protection Agency determines that additional by-products of the methamphetamine-production process meet the criteria for designation pursuant to subsection (a) or (b), respectively, then the Secretary or the Administrator (as the case may be), after consultation with the Attorney General, shall designate the by-products accordingly.

SEC. 402. CLEANUP COSTS.

Section 413(q) of the Controlled Substances Act (21 U.S.C. 853(q)) is amended--

(1) in the matter preceding paragraph (1), by inserting `, the possession, or the possession with intent to distribute, ' after `manufacture'; and

(2) in paragraph (2), by inserting `, or on premises or in property that the defendant owns, resides, or does business in' after `by the defendant'.

END